Student debt keeps rising
No de-leveraging here…
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The vast majority of loans come from the government. It’s doing students more harm than good offering them. More debt on offer to pay for an asset — whether a house, a security, or a college education — just inflates its price.
For other assets, it’s easy to sit out the borrowing arms race. Dwellings can be rented, savings parked somewhere besides frothy stocks or bonds. But every year there’s a new crop of 18 year-olds that have to pay the debt-inflated price of tuition.
(ht Stephen Culp, Reuters)